Looking ahead to April.......

It is important to anticipate market action for next few month.

April MAY be lot different than Jan, Feb or March.

March is ending with many highs & MAY make few more in last week.

Next week is end of week, end of month & end of quarter.

It is quite significant for many money managers to look & show good result.

There may be a flurry of activity on the positive side, but it may all end by Wed.

It is important to book gains by Wednesday where possible & try to be small in exposure.

WHY am i saying this?

Because indices cannot & must not go UP in a straight line.

We had one hell of a run from October lows of 1074.77, currently we are sitting @ 1397.11 which is an UP move of 322.34 points or 29.99% in a matter of six straight months.

Sentiment is too euphoric & may come to a boiling point in next 3 to 5 days, that will be a great "exit point" or to "get small"

In case you are wondering about resistance it is between 1440 to 1450, BUT we MAY not get that high in this run.

As to support, most technicians like to see 50 DMA as support, which is @ 1352.00. I personally believe that in any full fledge correction we MAY go under to create panic & get weak hands out.I look to 1330 as major support.

It is good to be pre-emptive than wait for "selling avalanche"......

I am looking forward to winding down my portfolio in a big way by Wednesday.

This is my personal take & may not happen, the way i see it.

Will NOT encourage shorting in this strong market, more like a chance to accumulate strong stocks again.....

Some of the reasons for my caution is :

-Equity had major gains already.

-China negativity may continue.

-European summer is a slow period, when they practically shut down for vacation.

-Some major stocks are looking vulnerable.

-Euphoria is highest as per investor intelligence, Bulls 48%+++

June may be a better time, to resume higher exposure.

So..... Go away in April & May is the theme for me.

BLOG does NOT give buy or sell.

Saleem